New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-05-28
MRS uErrY GREEN AND HER BONDS
THE HOUSTON AND TEXAS CENTRAL PEOPLE SUR
nnIsrn At HER nFCAICITRANCY.


PRIsED AT HER EECAJCITRANCY.
Mrs Hetty Green who is reputed to be the wealth.
est woman in America. has again displayed some OF
those pronounced characteristics which have not
added popul rity to her relations with Wall Street
She promises to add further to her large fortune
but her tame is not likely to be expanded thereby
She has declined 10 accept tho Houston and Texas
Central bondho iers' compromise after, as the COM
mittee claims, she had pledged her cooperation But
Mrs. Green IL dealing with men who are among the
shire WIDEST aud most conservative people connected
with financial matters and they think they have the
upper hand.
The Houston and Texas Central Railroad has been
in the throes Of bankruptcy for lOng time Several
years ago C. p Huntingdon the Southern Pacific Rail
vay magnate acquired the control OF the stock at
low fgure-$l0 q share, it is said. But tho bouded
debt OF the road great that the road staggered
under il, aud reorganization was necessary TO put
tho stock within haiin, distance of dividends. For
o long time Mr.. Huntin gton and the bondholders
could not agree to the terms of scaling down the
funded debt. Various schemes were proposed and
fell through and litigation helped to tange the affairs
of the company and postpone the day OF its solvencv
Mr. Huntington held the road with u firm clutch,
and its geographical position such that his sys-
tenn of lines could take pretty much all OF its traffic
away from it. 1t became evident that compromise
must be made OF conflicting Interests. Az last Das
agreement was reached The following committee
took the matter of reorg anization in charge Henry
Bulge, OF algaften & Co.; William Mertens, OF Won
Hoffman & Co.; Thomas l.. Manson. jr, of Charles
Head " tO ffenefICk lay VI i'J iVi
& Co.; II. X. Pomroy of PonrOy Brothers; Charles
Robinson Smith and William j. Qunan, IT., OF the
Chemical National Bank.
Mrs. Green owns controls about Sl,OOO,0OO OF
the general mortgage bonds. When the committee
began Its work OF gathering in the bondnolders TO the
promise the members telt assured of Mrs. Green's
coo Grafton In fact they declare that they received
absolute promise OF support from those authorized TO
net tor the so-called Queen OF Wall Street. On
Thursday the day Tor the deposit OF bonds under
the plan OF reorganization passed without Mrs.
Green's holdings being deposited with the Farmers
Loan and Trust Company. Alter thursday no bonds
could come in without paving per cent penalty or
$50 bond Mrs. Green would have none OF the com
promise declared that the Huntington party wantet
TO squeeze too much out OF the bohdhollers. ahd
paceu her interests in the charge OF Sullivan CroH-
we'll the law firm Houston and Texas Central stock
dro, ped from IL to ~ upder the elect OF Mrs.
Greens threat OF litigation or disturbance.
The bOndhOlderi, however say that they nave no
fear OF their scheme nos going through. Inc total
amount OF general mortgage bonds is %3f4O,oO0
The deposits W tn the trust company amount 10
So 1sl 900, exclusive OF 5000 bonds tied up by
litigation but in harmony with the committee Here
thirds OF the tOta issue pledged TO the conpro
mise in rnite OF Mrs. Green. What can she do She
can hid tho road in under foreclosure sale and thereby
pay enough TO satisfy the other bondbolders ana pat
In NOE money than she is likely to get out OF the
property That is her only resource. The bond
holders committee feels hitter over her conduct. Inc
menbers declare that il she wants to come ID now she
will have to put up 2 pet cent or SZoOou on her
81 900 900 That Ia sum hard tor her to part with,
but will have to pay IN counsel ices ana law
costs II she wants to make trouble. The committee,
too reserves the privilege OF increasing the penalty
on recalcilrant bnndh0ldcrs II II sees III to 90 So
Meanwhile Mrs. Green's counsel decline to outline
their probable coufse OF action.